**Charity registration number 528288**
**THE RATCLIFFIAN ASSOCIATION AND CUNNINGHAM FUND ANNUAL REPORT AND UNAUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023**
## **THE RATCLIFFIAN ASSOCIATION AND CUNNINGHAM FUND**
## **LEGAL AND ADMINISTRATIVE INFORMATION**
## **Trustees**
**Trustees** R Armitage A Gavin J Crossley J Reddin S Spillane **Charity number** 528288 **Principal address** The Clerk 58 Beverley Road Leamington Spa CV32 6PJ **Independent examiner** Rachel Skells BA FCA The Old Exchange 64 West Stockwell Street Colchester Essex CO1 1HE
## **THE RATCLIFFIAN ASSOCIATION AND CUNNINGHAM FUND**
## **CONTENTS**
||**Page**|
|---|---|
|Trustees report|1 - 3|
|Independent examiner's report|4|
|Statement of financial activities|5|
|Balance sheet|6|
|Notes to the financial statements|7 - 13|
## **THE RATCLIFFIAN ASSOCIATION AND CUNNINGHAM FUND**
## **TRUSTEES REPORT**
## _**FOR THE YEAR ENDED 31 MARCH 2023**_
The trustees present their annual report and financial statements for the year ended 31 March 2023.
The financial statements have been prepared in accordance with the accounting policies set out in note 1 to the financial statements and comply with the charity's trust deed, the Charities Act 2011 and "Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019)".
## **Objectives and activities**
The charity's objectives are the provision of education to children attending Ratcliffe College, Leicester with preference given to children of former pupils of Ratcliffe College and children of poor Irish parents.
The trustees have paid due regard to guidance issued by the Charity Commission in deciding what activities the charity should undertake.
## **Grant making policy**
The Trustees review new applications for grants towards the provision of education to children in accordance with the objectives of the charity. All grants have for many years been based on financial need as against scholastic ability and the Trustees have endeavoured wherever possible to fund pupils whose parents are unable to complete their studies as a result for instance of the loss of a job or redundancy.
The Trustees have had due regard to guidance issued by the Charity Commission on public benefit and consider that the activities of the charity meet the requirements of the guidance.
The Trustees policy also necessitates review of all grants where the grantee has reached year eight at Ratcliffe College and is proceeding to GCSE. Grantees who have completed GCSE courses and are continuing to A level courses are also reviewed.
## **Achievements and performance**
During the current financial year the fund paid over £49,000 in grants for attendance at Ratcliffe College. This level of grants is unsustainable for the Fund in the longer term, but the Trustees believed they should, in these unprecedented times, reduce their distributable reserves to aid the children of those currently at the school to help continue their education.
Financial markets have seen some volatility as a result of the economic impact of the pandemic and the war in Ukraine. The Fund is still in a healthy position with over £1.9m invested with our Fund Managers, James Hambro Partners, at 31st March 2023. This is a similar position to 31st March 2022 despite taking additional cash away from the Fund Managers during the year to pay for the grants.
The charity retains approximately one year’s grants in bank balances and the Trustees believe that in the event of any further reduction in the fund’s investments the charity will remain a going concern and be able to cover its liabilities. The Trustees will continue to closely monitor the situation, with quarterly and ad hoc reports from their professional financial advisor.
## **Financial review**
The results for the year are shown on pages 5 to 13 of the financial statements. The charity has incurred a deficit of £17,178 before investment losses of £62,761.
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## **THE RATCLIFFIAN ASSOCIATION AND CUNNINGHAM FUND**
## **TRUSTEES REPORT (CONTINUED)**
## _**FOR THE YEAR ENDED 31 MARCH 2023**_
It is the policy of the charity that unrestricted funds which have not been designated for a specific use should be maintained at a level equivalent to between three and six month’s expenditure. The trustees consider that reserves at this level will ensure that, in the event of a significant drop in funding, they will be able to continue the charity’s current activities while consideration is given to ways in which additional funds may be raised. This level of reserves has been maintained throughout the year.
The total unrestricted reserves at the year-end stood at £193,434 (2022: £187,908) Endowment funds totalled £1,732,643 (2022: £1,818,108). The Trustees have agreed a policy whereby unrestricted funds not committed or invested in tangible fixed assets or investments held by the charity should be maintained at approximately a year's outgoings on scholarship awards.
Additional surplus income has been invested to provide additional income.
This policy allows for a possible reduction in the more stable parts of income and so would allow the charity to continue its activities at the current level for some years.
The Trustees have considered the risks to which the charity is exposed and have established monitoring processes to understand and mitigate those risks. Strategic and shorter-term plans are reviewed regularly and funding obtained from a number of sources. Internal risks are minimised by implementing procedures for authorising transactions, grants etc, and to ensure consistent quality of delivery for all operational aspects of the charity.
The Trustees review these procedures periodically.
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## **THE RATCLIFFIAN ASSOCIATION AND CUNNINGHAM FUND**
## **TRUSTEES REPORT (CONTINUED)**
## _**FOR THE YEAR ENDED 31 MARCH 2023**_
## **Structure, governance and management**
The charity was formed following the amalgamation of the Ratcliffian Association Centenary Fund, Ratcliffian Association Land Trust, Cunningham Centenary Fund, and the Ratcliffian Association University Scholarship Trust Fund.
The approval of this scheme was given by the Association Council on 27 November 1997, and the scheme was registered with the Charity Commissioners for England & Wales (registered number 528288) and is regulated by schemes sealed on 7 January 1998.
It is with great sadness that John Tucker who served as a dedicated Trustee for many years died unexpectedly whilst in office during the year. His replacement has not yet taken place. Our thoughts are with his family.
The trustees who served during the year and up to the date of signature of the financial statements were: R Armitage A Gavin J Crossley J Reddin J Tucker (Deceased 14 February 2023) S Spillane
Provincial of the Institute of Charity and the Headmaster are ex-officio Trustees. Other Trustees are appointed by the Council of the Ratcliffian Association for periods of 4 years in accordance with the scheme rules. All Trustees are long standing and experienced. Any new Trustees are advised concerning their duties and responsibilities by the Clerk to the Charity.
New co-optative trustees are appointed by the Ratcliffian Association Council based on their character, experience and suitability for trusteeship of the Charity and receive ad hoc training.
The Trustees report was approved by the Board of Trustees.
**R Armitage** Trustee Dated: 14 November 2023
**J Crossley** Trustee Dated:14 November 2023
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## **THE RATCLIFFIAN ASSOCIATION AND CUNNINGHAM FUND**
## **INDEPENDENT EXAMINER'S REPORT**
## **TO THE TRUSTEES OF THE RATCLIFFIAN ASSOCIATION AND CUNNINGHAM FUND**
I report to the trustees on my examination of the financial statements of The Ratcliffian Association and Cunningham Fund (the charity) for the year ended 31 March 2023.
## **Responsibilities and basis of report**
As the trustees of the charity you are responsible for the preparation of the financial statements in accordance with the requirements of the Charities Act 2011 (the 2011 Act).
I report in respect of my examination of the charity’s financial statements carried out under section 145 of the 2011 Act. In carrying out my examination I have followed all the applicable Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act.
## **Independent examiner's statement**
I have completed my examination. I confirm that no matters have come to my attention in connection with the examination giving me cause to believe that in any material respect:
- 1 accounting records were not kept in respect of the charity as required by section 130 of the 2011 Act; or
- 2 the financial statements do not accord with those records; or
- 3 the financial statements do not comply with the applicable requirements concerning the form and content of accounts set out in the Charities (Accounts and Reports) Regulations 2008 other than any requirement that the accounts give a true and fair view which is not a matter considered as part of an independent examination.
I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the financial statements to be reached.
## **Rachel Skells BA FCA**
The Old Exchange 64 West Stockwell Street Colchester Essex CO1 1HE
Dated: 14 November 2023
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## **THE RATCLIFFIAN ASSOCIATION AND CUNNINGHAM FUND**
## **STATEMENT OF FINANCIAL ACTIVITIES**
## _**FOR THE YEAR ENDED 31 MARCH 2023**_
|**Unrestricted Endowment**
**funds**
**funds**
**2023**
**2023**
**Notes**
**£**
**£**
**Income from:**
Donations and
legacies
**2**
395
-
Investments
**3**
29,128
-
**Total income**
29,523
-
**Expenditure on:**
Raising funds
**4**
-
4,834
Charitable activities
**5**
41,867
-
**Total expenditure**
41,867
4,834
Net gains/(losses)
on investments
**9**
17,870
(80,631)
**Net movement in funds**
5,526
(85,465)
Fund balances at 1 April
2022
187,908
1,818,108
**Fund balances at 31 March**
**2023**
193,434
1,732,643|**Total**
**Unrestricted Endowment**
**funds**
**funds**
**2023**
**2022**
**2022**
**£**
**£**
**£**
395
495
-
29,128
20,810
-
29,523
21,305
-
4,834
-
4,038
41,867
99,792
-
46,701
99,792
4,038
(62,761)
604
49,275
(79,939)
(77,883)
45,237
2,006,016
265,791
1,772,871
1,926,077
187,908
1,818,108|**Total**
**2022**
**£**
495
20,810
21,305
4,038
99,792
103,830
49,879
(32,646)
2,038,662
2,006,016|
|---|---|---|
The statement of financial activities includes all gains and losses recognised in the year.
All income and expenditure derive from continuing activities.
- 5 -
## **THE RATCLIFFIAN ASSOCIATION AND CUNNINGHAM FUND**
## **BALANCE SHEET**
## _**AS AT 31 MARCH 2023**_
|**Notes**
**Fixed assets**
Investments
**11**
**Current assets**
Cash at bank and in hand
**Creditors: amounts falling due within**
**one year**
**12**
Net current liabilities
**Total assets less current liabilities**
**Capital funds**
Endowment funds - general
**13**
**Income funds**
Unrestricted funds
Designated funds
**14**
General unrestricted funds|**2023**
**£**
34,486
(50,522)
-
193,434|**£**
1,942,113
(16,036)
1,926,077
1,732,643
193,434
1,926,077|**2022**
**£**
32,420
(58,934)
48,040
139,868|**£**
2,032,530
(26,514)
2,006,016
1,818,108
187,908
2,006,016|
|---|---|---|---|---|
The financial statements were approved by the Trustees on 14 November 2023
R Armitage J Crossley **Trustee Trustee**
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## **THE RATCLIFFIAN ASSOCIATION AND CUNNINGHAM FUND**
## **NOTES TO THE FINANCIAL STATEMENTS** _**FOR THE YEAR ENDED 31 MARCH 2023**_
## **1 Accounting policies**
## **Charity information**
The Ratcliffian Association and Cunningham Fund is a charity, registered with the Charity Commission for England and Wales and is regulated by the Trust Deed dated 7 January 1998.
## **1.1 Accounting convention**
The financial statements have been prepared in accordance with the charity's trust deed, the Charities Act 2011 and "Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019)". The charity is a Public Benefit Entity as defined by FRS 102.
The charity has taken advantage of the provisions in the SORP for charities applying FRS 102 Update Bulletin 1 not to prepare a Statement of Cash Flows.
The financial statements have departed from the Charities (Accounts and Reports) Regulations 2008 only to the extent required to provide a true and fair view. This departure has involved following the Statement of Recommended Practice for charities applying FRS 102 rather than the version of the Statement of Recommended Practice which is referred to in the Regulations but which has since been withdrawn.
The financial statements are prepared in sterling, which is the functional currency of the charity. Monetary amounts in these financial statements are rounded to the nearest £.
The financial statements have been prepared under the historical cost convention, modified to include certain financial instruments at fair value. The principal accounting policies adopted are set out below.
## **1.2 Going concern**
At the time of approving the financial statements, the trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. Thus the trustees continue to adopt the going concern basis of accounting in preparing the financial statements.
## **1.3 Charitable funds**
Unrestricted funds are available for use at the discretion of the trustees in furtherance of their charitable objectives.
Designated funds comprise funds which have been set aside at the discretion of the trustees for specific purposes. The purposes and uses of the designated funds are set out in the notes to the financial statements.
Endowment funds are subject to specific conditions by donors that the capital must be maintained by the charity.
## **1.4 Income**
Income is recognised when the charity is legally entitled to it after any performance conditions have been met, the amounts can be measured reliably, and it is probable that income will be received.
Cash donations are recognised on receipt. Income tax recoverable in relation to donations received under Gift Aid is recognised at the time of the donation.
Legacies are recognised on receipt or otherwise if the charity has been notified of an impending distribution, the amount is known, and receipt is expected.
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## **THE RATCLIFFIAN ASSOCIATION AND CUNNINGHAM FUND**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)**
## _**FOR THE YEAR ENDED 31 MARCH 2023**_
## **1 Accounting policies**
## **(Continued)**
## **1.5 Expenditure**
Expenditure on grants is recorded once the Trust has made an unconditional commitment to pay the grant and this is communicated to the beneficiary or the grant has been paid, whichever is the earlier.
Other expenditure is included in the accounts on the accruals basis. Irrecoverable VAT is charged to the SOFA as incurred.
The cost of managing investments is split 25:75 between administration fees charged to raising funds and endowment investment fees charged to unrealised gains on investments.
## **1.6 Fixed asset investments**
Fixed asset investments are initially measured at transaction price excluding transaction costs, and are subsequently measured at fair value at each reporting date. Changes in fair value are recognised in net income/(expenditure) for the year. Transaction costs are expensed as incurred.
## **1.7 Cash and cash equivalents**
Cash and cash equivalents include deposits held at call with banks, other short-term liquid investments with original maturities of three months or less.
Basic financial instruments are initially recognised at transaction value and subsequently measured at amortised cost. Financial assets comprise cash at bank together with other debtors. Cash at bank is defined as all cash held in instant access bank accounts and used as working capital. Investments are held at fair value at the balance sheet date, with gains and losses being recognised within income and expenditure. Financial liabilities held at amortised cost comprise all creditors.
## **2 Donations and legacies**
||**Unrestricted **|**Unrestricted**|
|---|---|---|
||**funds**|**funds**|
||**2023**|**2022**|
||**£**|**£**|
|Donations and gifts|395|495|
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## **THE RATCLIFFIAN ASSOCIATION AND CUNNINGHAM FUND**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)**
## _**FOR THE YEAR ENDED 31 MARCH 2023**_
## **3 Investments**
||**Unrestricted **|**Unrestricted**|
|---|---|---|
||**funds**|**funds**|
||**2023**|**2022**|
||**£**|**£**|
|Income from listed investments|28,310|20,389|
|Interest receivable|818|421|
||29,128|20,810|
## **4 Raising funds**
||**Endowment**|Endowment|
|---|---|---|
||**funds**|funds|
||**general**|general|
||**2023**|2022|
||**£**|£|
|Investment management|4,834|4,038|
||4,834|4,038|
The portfolio is managed by James Hambro. Investment managers fees for the year totalled £19,337 (2022: £16,153) and have been split 25:75 between raising funds (£4,834) and unrealised gains on investments (£14,503) and both expensed within the endowment funds.
## **5 Charitable activities**
|**Charitable activities**|||
|---|---|---|
|Independent examiners fees
Sundry expenses
Grant funding of activities (see note 6)|**2023**
**£**
2,935
105
3,040
38,827
41,867|**2022**
**£**
1,074
168|
|||1,242
98,550|
|||99,792|
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## **THE RATCLIFFIAN ASSOCIATION AND CUNNINGHAM FUND**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)**
## _**FOR THE YEAR ENDED 31 MARCH 2023**_
## **6 Grants payable**
|Grants to individuals|**2023**
**£**
38,827
38,827|**2022**
**£**
98,550|
|---|---|---|
|||98,550|
## **7 Trustees**
During the year, no Trustees received remuneration for their services (2022: £Nil). During the year, one trustee was reimbursed a total of £70 for travel expenses (2022: £133).
## **8 Employees**
The average monthly number of employees during the year was:
||**2023**|**2022**|
|---|---|---|
||**Number**|**Number**|
|Total|-|-|
There were no employees whose annual remuneration was more than £60,000.
## **9 Net gains/(losses) on investments**
|**Unrestricted Endowment**
**Total**
**funds**
**funds**
**2023**
**general**
**£**
**£**
**£**
Revaluation of investments
11,305
(98,855)
(87,550)
Gain/(loss) on sale of investments
6,565
18,224
24,789
17,870
(80,631)
(62,761)
**For the year ended 31 March**
**2022**
604
49,275|**Total**
**2022**
**£**
6,365
43,514|
|---|---|
||49,879|
||49,879|
## **10 Taxation**
The charity is exempt from tax on income and gains falling within section 505 of the Taxes Act 1988 or section 252 of the Taxationof Chargeable Gains Act 1992 to the extent that these are applied to its charitable objects.
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## **THE RATCLIFFIAN ASSOCIATION AND CUNNINGHAM FUND**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)**
## _**FOR THE YEAR ENDED 31 MARCH 2023**_
## **11 Fixed asset investments**
|**Listed**
**investments**
**£**
**Cost or valuation**
At 1 April 2022
1,913,746
Additions
604,842
Valuation changes
(87,550)
Movements
-
Gain on sale of investments
39,290
Disposals
(572,431)
At 31 March 2023
1,897,897
**Carrying amount**
At 31 March 2023
1,897,897
At 31 March 2022
1,913,746|**Cash in**
**portfolio**
**£**
118,784
-
-
(74,568)
-
-
44,216
44,216
118,784|**Total**
**£**
2,032,530
604,842
(87,550)
(74,568)
39,290
(572,431)|
|---|---|---|
|||1,942,113|
|||1,942,113|
|||2,032,530|
## **12 Creditors: amounts falling due within one year**
|Bursaries pledged for future terms
Accruals and deferred income|**2023**
**£**
42,642
7,880
50,522|**2022**
**£**
52,860
6,074|
|---|---|---|
|||58,934|
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## **THE RATCLIFFIAN ASSOCIATION AND CUNNINGHAM FUND**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 MARCH 2023**_
## **13 Endowment funds**
The income earned by the endowment investments is utilised to provide grants in accordance with the charity's governing document.
|||**Balance at**|**Resources**||**Balance at**|
|---|---|---|---|---|---|
||**1**|**April 2022**|**expended**|**31**|**March 2023**|
|||**£**|**£**||**£**|
|**Expendable endowments**||||||
|Endowment fund||1,818,108|(85,465)||1,732,643|
|||1,818,108|(85,465)||1,732,643|
Endowment funds are funds which have been given to the charity subject to the restriction that they are held as capital.
## **14 Designated funds**
The income funds of the charity include the following designated funds which had been set aside out of unrestricted funds by the trustees. This fund was set aside in 2020 specifically for the provision of additional Covid-19 support grants which were to be awarded to families with children at the school who have been financially effected by the pandemic.
During the year, £nil grants were awarded from the emergency Covid-19 support designated funds (2022: £nil) and the trustees decided in November 2022 to undesignate this fund and transfer the balance back to general unrestricted funds..
|**Movement**
**in funds**
**Balance at**
**1 April 2021**
**Incoming**
**resources**
**Balance at**
**1 April 2022**
**£**
**£**
**£**
COVID-19 Relief fund
48,040
-
48,040
48,040
-
48,040|**Transfers**
**Balance at**
**31 March 2023**
**£**
**£**
(48,040)
-
(48,040)
-|**Transfers**
**Balance at**
**31 March 2023**
**£**
**£**
(48,040)
-
(48,040)
-|
|---|---|---|
|||-|
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## **THE RATCLIFFIAN ASSOCIATION AND CUNNINGHAM FUND**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)**
## _**FOR THE YEAR ENDED 31 MARCH 2023**_
|**15**
**Analysis of net assets between funds**
**Unrestricted**
**funds**
**Endowment**
**funds**
**2023**
**2023**
**£**
**£**
Fund balances at 31
March 2023 are
represented by:
Investments
196,504
1,745,609
Current
assets/(liabilities)
(16,036)
-
180,468
1,745,609|**Total Unrestricted**
**funds**
**Endowment**
**funds**
**2023**
**2022**
**2022**
**£**
**£**
**£**
1,942,113
223,857
1,808,673
(16,036)
(26,514)
-
1,926,077
197,343
1,808,673|**Total**
**2022**
**£**
2,032,530
(26,514)
2,006,016|
|---|---|---|
## **16 Related party transactions**
There were no further disclosable related party transactions during the year other than those included in note 8 of the financial statements (2022- none).
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